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NASDAQ Index, SP500, Dow Jones Forecasts – NASDAQ Gains Ground As NVIDIA Rallies 7.4%

By:
Vladimir Zernov
Published: May 28, 2024, 19:44 GMT+00:00

Key Points:

  • SP500 pulled back as traders focused on rising Treasury yields.
  • NASDAQ moved higher, supported by the strong performance of AI-related stocks.
  • Dow Jones tested new lows as the pullback continued.
NASDAQ Index, SP500, Dow Jones Forecasts

In this article:

 SP500

SP500
SP500 280524 4h Chart

SP500 pulled back as traders reacted to the better-than-expected CB Consumer Confidence report, which showed that Consumer Confidence increased from 97.5 in April to 102.0 in May. Treasury yields moved higher as bond traders worried that Fed could be more hawkish due to rising Consumer Confidence. Traders also focused on the Case-Shiller Home Prices index report, which indicated that home prices increased by 1.6% month-over-month in March. On a year-over-year basis, home prices grew by 7.4%, compared to analyst consensus of 7.3%. Most market segments moved lower in today’s trading session. However, demand was strong for energy and technology stocks.

SP500 made an attempt to settle below the 5300 level but received support near 5280 and moved back towards 5300. If SP500 settles above 5300, it will head towards the nearest resistance at 5320 – 5330.

NASDAQ

NASDAQ
NASDAQ 280524 4h Chart

NASDAQ gained some ground as demand for tech stocks remained strong. NVIDIA, which is up by 7.4%, is the biggest gainer in the NASDAQ index today. The stock tests historic highs amid rising demand for AI-related companies.

In case NASDAQ settles above the recent highs at 18,927, it will get to the test of the 19,000 level. On the support side, the nearest support level for NASDAQ is located in the 18,600 – 18,700 range.

Dow Jones

Dow Jones
Dow Jones 280524 4h Chart

Dow Jones tests new lows as the pullback continues. Most stocks in the Dow Jones index are losing ground today as traders are mostly focused on buying tech and energy stocks.

Dow Jones has recently managed to move below the support at 39,000 – 39,100. RSI is in the oversold territory, but there is some room to gain additional downside momentum. In case Dow Jones declines below the recent lows at 38,715, it will head towards the next support level, which is located in the 38,500 – 38,550 range.

For a look at all of today’s economic events, check out our economic calendar.

About the Author

Vladimir is an independent trader and analyst with over 10 years of experience in the financial markets. He is a specialist in stocks, futures, Forex, indices, and commodities areas using long-term positional trading and swing trading.

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